EC extends Austria’s VAT deduction prohibition until 2027 to prevent evasion and simplify collection.

• The European Commission adopted a decision on Austria’s request to continue a special VAT measure
• Austria wants to continue prohibiting VAT deductions on goods and services used mostly for non-business purposes
• The purpose of the deviation is to simplify collection procedures and prevent VAT evasion
• The decision extends Austria’s authorization to Dec. 31, 2027, and requires any further extension request to be submitted by March 31, 2027.

Source: news.bloombergtax.com

Note that this post was (partially) written with the help of AI. It is always useful to review the original source material, and where needed to obtain (local) advice from a specialist.